I would also make sure that you are buying what you really can afford. Just because you are approved:

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Apr 25, 2016
12:55:11pm

deckard667 Semi-Legendary

I would also make sure that you are buying what you really can afford. Just because you are approved:

for a certain loan amount, does not necessarily mean you can really afford that. If either one of these payment options makes you "house poor" you should reconsider and possibly lower your price range. You can always buy a bigger house later, when you are earning more.

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deckard667

New username: Adrielle
Bio page: deckard667
Joined: Sep 10, 2013
Last login: Jul 19, 2016
Total posts: 0 (0 FO)

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Messages

Author

Time

Anyone ever done a 15 year balloon mortgage?

Slim The worst

4/25/16 10:28am

Rates are good. Now is the time for a fixed.

Mister P

4/25/16 10:36am

Not really. You pay a premium for the 30 yr fixed and no one stays in homes

Iman23

4/25/16 10:43am

If you feel like you're in a "30-year home" then go for the 30-year mortgage,

4/25/16 10:45am

Early in my career but looking at making it a permanent home.

Slim

4/25/16 10:46am

Is this a purchase or refi?

Iman23

4/25/16 10:46am

Purchase. I only have 5% to put down as it is our first home and this plan offers no PMI.

Slim

4/25/16 10:47am

Will you be able to pay it off if needed at or before 15 years?

byubyu

4/25/16 10:36am

Will I be able to pay off the complete mortgage amount including the expected balloon payment in 15 years?

Slim

4/25/16 10:41am

And if rates go up significantly (which is likely) what's the plan?

byubyu

4/25/16 10:53am

If the new mortgage would be a 15 year then I'd hope the future rates on a 15 year mortgage aren't too

Slim

4/25/16 10:55am

That is a very bad assumption

CougarThug

4/25/16 11:13am

They wont. Source:

molodyets

4/25/16 11:14am

I did an 8-year balloon with my first house. I knew I'd likely be there less

4/25/16 10:37am

I like the peace of mind of a low long-term interest rate.

titlecoug

4/25/16 10:49am

My mortgage payment would be about $200/month more with the 30 year fixed option

Slim

4/25/16 10:53am

Which would essentially save you 300-400 per month for a while. If you can

cougaman

4/25/16 11:01am

I'm assuming the $200 in savings includes the saved PMI expense. Correct?

CougarThug

4/25/16 11:26am

if you are in Utah there are lot of first time home owner programst hat odnt

molodyets

4/25/16 11:26am

Is this your only home you will buy? If so then it is the best

deckard667

4/25/16 11:01am

Pay cash for my balloon purchases.

In Reverie

4/25/16 11:25am

$200 a month is what you're worried about? Get a set rate, dood.

4/25/16 12:48pm

I would also make sure that you are buying what you really can afford. Just because you are approved:

deckard667

4/25/16 12:55pm

Yeah. We are buying for well under what I could actually be approved for.

Slim

4/25/16 1:49pm

Yeah I ended up telling the mortgage guy we just want the 30 year fixed.

Slim

4/25/16 1:51pm

You should be able to do some sort of "piggy back" type loan to avoid PMI. Don't

cougaman

4/25/16 1:56pm

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